Need help on which option to go for regarding collections
Im in like $59k debt from personal loans (Best Egg, Upstart, Sofi) and credit debt. I fell prey to the lifestyle creep haha, anyways. Ive thinking about having it sent to collections and just accepting my credit score to tank as I cannot keep on paying these off, this is just what its come to
Ive thought of the following 3 options regarding collections, and am asking if anyone has any insight on them:
Option 1: Defaulting on everything, saving that debt money and growing my cash reserves for when settlement offers come about, I can access some cash for that, but I risk lawsuits?
Option 2: Defaulting on everything except for Sofi, who is the biggest debt holder at $22k, could be at risk for a lawsuit from what i hear? So I would continue paying that off to lower risk
Option 3: National Debt Relief
For reference I make about $70k, debt is as follows:
Personal Loans
Sofi: 22k w/ $495 monthly payments
Best Egg: $10k w/ $300 monthly payments
Upstart: $11k w/ $300 monthly payments
Credit
Citi: $8k w/ $300 monthly payments
Capital One: $2.6k w/ $80 monthly payments
AppleCard: $5k, i use this card to pay bills and such and it slowly crept up on me every month, $1,200 is the amount i pay every month.